Rite Aid announced its third-quarter 2014 sales Thursday, showing higher total and same-store sales and profits than third quarter 2013, as well as continued growth in programs like the Wellness store format, Wellness65+ and others.

The main story surrounding Rite Aid over the past couple of years has been its efforts to engineer a turnaround, but the message from Thursday was, "Rite Aid more or less has turned around, so what's next?"

Rite Aid is testing a revamped beauty section in at least one of its Genuine Well Being stores, in New York's West Village. Dubbed Beauty Vision, the section features a wider assortment of brands, a spruced-up look and a Beauty Vision adviser who can help customers learn about various brands and products. The chain is promoting the new concept with a special event on Tuesday featuring Eddie Funkhouser, creator of the eponymous cosmetic brand.

Assuming president Obama's healthcare reform initiative works out - notwithstanding the rough start it's had so far - and tens of millions of uninsured Americans get healthcare coverage, it's going to mean a lot of potential new customers for pharmacy retailers. But while that will drive script count and get people through the door, it will also drive pharmacy margins down. This means retailers will need to do more to make themselves stand out in the front end, and one of the best ways to do that is with beauty.

DSN took a close look at Rite Aid's new beauty concept this week. See it for yourself.

It was a big week for executive promotions, particularly the appointment of Mary Kelly as EVP and chief merchandising officer at Rexall Pharma Plus and Chris Dimos, who has joined McKesson as SVP corporate strategy and business development.

There’s no doubt that these two industry leaders bring much to the table in their new roles.

Rite Aid reported a $123.1 million profit for fourth quarter 2013 and $118.1 million for the fiscal year - its first profitable year since 2007 - amid greater generic drug penetration and retention of at least three-quarters of the customers who switched over to the chain during the dispute between Walgreens and pharmacy benefit manager Express Scripts, among other factors.

In other words, the factors that helped fuel the nearly $62 million profit the company reported in third quarter 2013 have continued to hold, which means the 4,623-store chain has put itself on track for strong future growth, which will no doubt be helped along by the debt refinancing the company finished in February.

“How does that help me sell more cases, pallets and truckloads?” That’s a question I have been asked repeatedly, particularly as the world of retail pharmacy has evolved to play a larger role in health care. With that, the business that we cover in Drug Store News has become incredibly more complicated.

CVS Caremark’s annual meeting of shareholders in May was of special importance as it marked the official retirement of former chairman and CEO Tom Ryan, who left the growing company in the hands of a strong, capable new leader — Larry Merlo.

Over the years, CVS Caremark has grown from a go-getting New England-based regional player to a nearly $100 billion pharmacy healthcare giant known for its vertically integrated pharmacy-PBM model via the 2007 acquisition of Caremark, its highly successful loyalty card program and its innovative beauty concepts.

With a new leader at the helm, a robust management team in place and an unwavering focus on driving medication adherence and reducing healthcare costs, CVS Caremark remains squarely on the growth path and continues to play an increasingly important role in U.S. health care with its far-reaching store network and arsenal of products and services.

A new chapter officially is under way for CVS Caremark, and it comes as little surprise that the Larry Merlo era has begun with a reminder of the core principles that put him in the captain's seat to begin with — flawless execution, cross-functional thinking and management, and enhancing value.

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SPECIAL REPORTS

Are we in the midst of a beauty revolution? Perhaps. It is no secret that the ever-changing beauty category is all about trends, but one could argue that we are embarking on an especially interesting time in beauty as technology is changing the way consumers shop and new innovations strive to break through the noise.

In this beauty report, Drug Store News takes a deeper dive into some of the leading trends that are reshaping beauty.more ...

IN THIS ISSUE

In this issue, DSN examines PricewaterhouseCoopers' "Top Health Industry Issues for 2015;" takes you on a tour of Murad, shares beauty trends and insights and delves into location-based technology and how it is revolutionizing health, retail.Click here to view the issue.